An overwhelming number of equity mutual fund schemes have underperformed their respective benchmark indices despite the fact that the equity market has more than doubled since the March 2020 lows. Mutual Fund schemes across categories such as Large Cap Fund, Flexi Cap Fund, Mid Cap Fund, etc., are lagging at a time when the mutual fund industry has witnessed substantial…
We are slowly approaching the second half of the financial year 2022-23. Many of us often delay our tax saving plans and keep on procrastinating until the last quarter of the financial year. I believe that the plans for tax savings should not be kept until the last moment. It may be an apt time…
Large & Mid-Cap Fund is a relatively new category of equity mutual funds that offers you an opportunity to create wealth by investing in an optimum mix of large-cap and mid-cap stocks, i.e., the leaders of today as well as the future leaders. Thus, you benefit from the stability of large-caps and the high growth potential of mid-caps…
Flexi-cap Funds have the flexibility to invest across market cap segments, viz. large-cap, mid-cap, and small-cap, without any upper or lower limit. Diversifying your investments across market caps, preferably through a Flexi-cap Fund, can reduce portfolio risk and mitigate volatility, thereby maximising portfolio returns over the long term. Depending on market conditions, liquidity conditions, and valuations,…
The Sensex is yet again inching towards its all-time high levels it achieved in October 2021. However, investors must remain cautious as markets are expected to remain volatile in the near term and an intermediate correction cannot be ruled out. Investors should focus primarily on Large Cap Funds. Although Large Cap Funds aren’t very appropriate…
Mid Cap Mutual Funds offer you the opportunity to create significant long-term wealth. However, not all Mid Cap Mutual Funds are worthy of your investment. It is vital to select only those mutual funds that focus on picking quality stocks in the mid-cap segment. Which are the best Mid Cap Mutual Funds to invest in…
Mid Cap Funds are those that invest at least 65% of the corpus in companies ranking 101st to 250th in terms of market capitalisation. These companies have the potential to become the large-caps of tomorrow. When investing in Mid Cap Funds, you should be aware of the risk and avoid one-time lumpsum investments. The market…
Diversification is the cornerstone of creating a successful mutual fund portfolio. However, as the saying goes, ‘Too much of anything is good for nothing’. Many investors add too many schemes to their mutual fund portfolio (sometimes 10-15 schemes or even more), expecting that it will help them achieve optimal diversification. In reality, this strategy usually leads to mutual…
Focused Funds endeavour to identify high conviction stocks in select sectors that are expected to do well in the medium to long term and take concentrated exposure in such stocks/sectors. These funds have the flexibility to choose high-potential stocks from across market caps and sectors, giving them the opportunity to benefit from dynamic market conditions. However,…
Investing in mutual funds via the Systematic Investment Plan (SIP) mode has become a popular choice for many investors. This facility allows you to invest a fixed amount at regular intervals in the mutual fund scheme of your choice. Such a disciplined approach to investment helps to create wealth over the long term. [Read: What is SIP?] Over…
